AI + FHIR: The Future of Structured Data in Healthcare

FHIR and AI - a marriage made in heaven.

February 27, 2025 · 3 min read

In this blog we deep dive into the intersection of artificial intelligence (AI) and healthcare innovation. Today, we’re exploring a bold idea shaking up the tech world: AI thrives on structured data, and FHIR might just be its perfect match. With predictions about an AI-driven, agentic world running wild, let’s unpack why Fast Healthcare Interoperability Resources (FHIR) is emerging as the gold standard for feeding large language models (LLMs) in healthcare—and why that matters to you.

The Big Picture: Structured Data Fuels AI Success

If you’ve ever played with an AI tool like ChatGPT, you’ve probably noticed a simple truth: the better your input, the better the output. The quality of responses from LLMs is directly tied to the specificity and clarity of the prompts they receive. This isn’t just a quirky feature—it’s a fundamental principle. AI loves structured data, the kind that’s organized, consistent, and easy to parse. And guess what? That’s exactly what powers the backends of Software-as-a-Service (SaaS) platforms, which Microsoft’s Satya Nadella recently declared “dead.” But hold on—don’t toss out structured data just yet. It’s the lifeblood of the LLM-driven future, especially in healthcare.

Enter FHIR (pronounced “fire”), the interoperable data standard designed to streamline healthcare information exchange. FHIR isn’t just a buzzword; it’s a structured, human-readable format that’s proving to be a game-changer for AI applications in health tech. Here’s why.

Three Reasons FHIR is the Best Format for LLMs

LLMs Already “Get” FHIR
Large language models like the ones behind ChatGPT have been trained on vast swaths of the internet—including the extensive documentation at hl7.org/fhir and countless forums discussing it. FHIR’s widespread presence online means LLMs already understand its structure and terminology out of the box. Compare that to a proprietary format, which you’d have to painstakingly teach an AI from scratch. With FHIR, you’re starting with a head start.
Document-Based Beats Relational for AI
Here’s a tech nugget: LLMs, powered by transformer architectures, prioritize data that’s “closer together” in context (learn more about transformers here). FHIR’s document-based format keeps related healthcare info—like a patient’s conditions or encounters—tightly knit, unlike the scattered tables of relational databases. This locality makes it easier for AI to process and interpret, giving you richer, more accurate results compared to tabular, SQL-friendly formats.
FHIR Speaks English (Sort Of)
FHIR’s design has been refined through years of expert review, resulting in terminology that mirrors natural language: “Patient,” “Encounter,” “Condition,” “ExplanationOfBenefit.” Contrast that with proprietary formats full of cryptic codes like “enc_pat” or “SH1.” FHIR even pairs its codes with plain-English descriptions, making it far more digestible for LLMs—and frankly, for humans too. Proprietary systems, built for compact SQL queries, just can’t compete.

Inspiration from Imran Qureshi's Post:

Why This Matters Now

The healthcare industry is at a tipping point. As AI agents become more integrated into diagnostics, patient care, and administrative workflows, the need for high-quality, structured data has never been greater. FHIR isn’t just a nice-to-have—it’s a strategic advantage. Our own testing confirms that when you feed healthcare data to an LLM in FHIR format, the insights are sharper, the responses more relevant, and the applications more powerful.

So, while some might say SaaS is “dead,” the structured data it championed is far from obsolete—it’s evolving. FHIR bridges the old world of healthcare IT with the new frontier of AI, proving you don’t need to reinvent the wheel to innovate. You just need the right format.

Actionable Advice for Health Tech Leaders

If you’re working with LLMs in healthcare—whether you’re building tools, analyzing patient data, or streamlining operations—make FHIR your go-to format. It’s not about throwing out your existing systems; it’s about translating your data into a language AI already speaks. The result? Faster deployment, better outcomes, and a competitive edge in a rapidly transforming landscape.

What’s Next?

The rise of FHIR-powered AI is just the beginning. We’re keeping an eye on how this trend reshapes digital transformation in healthcare—and we’d love to hear your thoughts! Have you experimented with FHIR and LLMs? Drop us a line or join the conversation online with #HealthTech, #AI, and #FHIR.

Until next time, stay curious and keep innovating!

Building a smarter, healthier future, one structured dataset at a time.

AI + FHIR: The Future of Structured Data in Healthcare